Uber Looks To Expand In Fast-Growing West African Markets

Global ride-hailing firm Uber Technologies Inc is in talks with regulators over plans to expand into two West African countries and provide a boat service in Nigerian megacity Lagos, a company executive said.

In much of sub-Saharan Africa there are low
levels of personal car ownership, rapidly expanding populations and a
lack of efficient mass transport systems in fast-growing cities.

Uber,
which said it has 36,000 active drivers in sub-Saharan Africa, operates
in a number of countries in East and South Africa but is largely absent
from West Africa, aside from Nigeria and Ghana.

The firm has
identified the region as a target for potential expansion, Chief
Business Officer Brooks Entwistle told Reuters. He said the company was
in talks with regulators in Ivory Coast and Senegal regarding the
possible launch of services.

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“Both
Abidjan and Dakar are logical opportunities for us,” said Entwistle,
adding that discussions were at an early stage. He did not disclose
further details.

“We have talked about West Africa today as being a
big growth priority for us and launch priority for us moving forward,”
said Entwistle.

Ivory Coast and Senegal have two of the world’s
fastest growing economies, according to the International Monetary Fund.
Nigeria, Africa’s largest economy, is also the continent’s most
populous nation.

A number of motorcycle ride-hailing firms have also targeted West Africa as an area for expansion in the last few months.

Nigeria’s
commercial capital Lagos, a megacity of around 20 million inhabitants
built on a lagoon where Uber began operating in July 2014, is beset by
heavy congestion.

Entwistle, who spoke to Reuters during an
interview in Lagos, said the company was in talks with state regulators
about providing a transport system on the city’s waterways as a way of
bypassing its choked roads.

“We are looking at the waterways here, which are very interesting to us as it relates to a potential service,” said Entwistle.

The company has launched a boat service in the Indian city of Mumbai in the last few months.

“We did launch Uber Boat in Mumbai and we have watched the product develop. It’s in its early stages and we think there is high relevance here,” he said, referring to Lagos.